S.1934 - Securing Energy Supply Chains Act (119th Congress)
Summary
The Securing Energy Supply Chains Act (S. 1934) directs the Secretary of Energy to identify entities engaged in activities detrimental to U.S. national security, economic security, or foreign policy. This involves creating an "Energy Non-Procurement List" of such entities, prioritizing those involved with critical materials and batteries. The Act also prohibits the Department of Energy from contracting with entities that procure goods, services, or technology from listed entities.
Expected Effects
The Act aims to reduce reliance on potentially adversarial foreign entities in the energy sector. This could lead to a restructuring of energy supply chains and increased scrutiny of contractors. The Act also mandates studies and reports to Congress, increasing transparency and oversight.
Potential Benefits
- Enhanced national security by reducing dependence on foreign adversaries.
- Potential for increased domestic energy production and manufacturing.
- Greater transparency in energy supply chains through required reporting.
- Support for domestic or friendly-country sources of critical materials and technologies.
- Improved economic security by safeguarding against disruptions from foreign entities.
Potential Disadvantages
- Potential for increased costs due to shifting supply chains.
- Possible delays in energy projects due to procurement restrictions.
- Risk of unintended consequences from broad definitions of "detrimental activities".
- Potential for trade disputes with countries whose entities are listed.
- Increased administrative burden on the Department of Energy.
Constitutional Alignment
The Act appears to align with the Constitution's broad goals of providing for the common defense and promoting the general welfare, as stated in the Preamble. Congress's power to regulate commerce with foreign nations (Article I, Section 8, Clause 3) supports the Act's restrictions on procurement from certain foreign entities. The Act does not appear to infringe on any specific constitutional rights or limitations.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).